St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1887-12-25
THE
FINANCIAL


closing year induces
FINANCIAL retrospective eXamina-
ton into the results of
QUESTION. the business of the past
twelve months, one of
the most vital questions which engage
the public, as we'll as the individual
mind, is that of the financial condition
of the Country; not only in its bearings
upon the general welfare of the people,
but upon special localities and commu-
mites in which we have a more direct
and personal interest. Such review
cannot fail to strengthen the conviction
that in this respect our own Northwest
is particularly favored, and that from
conservative banking and commercial
standpoint the business of the year has
been reasonably satisfactory, and that
the outlook for the coming year is fairly
encouraging, Notwithstanding the late
stringency of the money market, which
for time came dangerously near the
border line of financial collapse, and
which still operates with more or less
severity, though with gradually decreas-
ing force and diminishing effect.
This financial cyclone came upon us
suddenly. and, to certain extent, I'M
expectedly, as storm from an UNI
clouded sky. 1t came In the midst of
what appeared to be time of un-
paralleled prosperity in all branches of
business. Trade was active, manufact-
uring establishments were working to
their full capacity, agriculture was
broadening its acres, railroads were ex-
tending their lines, and substantial
progress was apparent in every direc-
ton. Suddenly every interest was
threatened with disaster for the want of
money, which could not be obtained;
deposits were rapidly withdrawn from
the banks, and urgent applications for
loans were of necessity refused or but
partially responded to. All men seemed
anxious to borrow and none to lend, and
confusion and uncertainty seemed to
possess the minds of the community.
The prospect was frightened a little
when the secretary of the treasury went
into the market, and by the purchase of
bonds returned to the channels of trade
about fourteen of the boarded millions
In the United States treasury. He also
increased the government deposits in
the depository banks, and by this tenn
porary relief gave the trembling public
an opportunity to look the situation in
the face and to regain that courage and
confidence which seemed to have been
almost lost.
Possibly many found that their fears
had been somewhat exaggerated; at any
rate feeling of confidence was restored,
and the condition has been one of grad
ual improvement from that time for
ward; and although the improvement
has not been as pronounced nor as rapid
as might be desired, yet it has been
sufficient to dispel any serious appre-
tensions for the immediate future.
Many inquiries have been made as to
the causes of the financial condition
above referred to, and many conflicting
and varied answers have been given,
some attributing the whole trouble to
excessive speculation in real estate,
others TO high tariff and overtrading;
and still others ring the changes on that
surplus which has accumulated in the
United States treasury. amounting at
the present time TO about $50, G00. 900. or
little less than 81 for each man, woman
and child in the United States. Doubt
less this accumulation is unwiSe, I'M